Form 1 NATIONAL RAILROAD ADJUSTMENT BOARD
THIRD DIVISION
Award No. 36723
Docket No. MW-36283
03-3-00-3-501
The Third Division consisted of the regular members and in addition Referee
Nancy F. Eischen when award was rendered.
(Brotherhood of Maintenance of Way Employes
PARTIES TO DISPUTE:
(Union Pacific Railroad Company
STATEMENT OF CLAIM:
"Claim of the System Committee of the Brotherhood that:
(1) The Agreement was violated when the Carrier assigned outside
forces (Determan Morrill Limited Co., Progress Rail Inc. and
SMI Rail) to perform routine Maintenance of Way right of way
cleaning work (cut, load, transport and stockpile rail and other
track material) between Mile Posts 749.50 and 778 and between
Mile Posts 830 and 847 on the Laramie and Salt Lake
Subdivisions within the Wyoming Division commencing March
22, 1999 and continuing through May 7, 1999 (System File
W-9952-156/1196017).
(2) The Agreement was further violated when the Carrier failed to
furnish the General Chairman with proper advance written
notice of its intention to contract out said work and failed to
make a good-faith attempt to reach an understanding
concerning said contracting as required by Rule 52(a).
(3) As a consequence of the violations referred to in Parts (1)
and/or, (2) above, Eastern District Roadway Equipment
Operators L. E. Loya, T. B. Micek, Wyoming Division Group
15(D) Truck Drivers M. T. Carter, J. W. McBee, Wyoming
Division Group 15(C) Truck Drivers G. A. Delgado, K. B.
Poledna, Wyoming Division Group 14(F) Welder Helpers J. G.
Busboom, L. Pena, S. P. Campbell, E. P. Cruz, Group 18
Form 1 Award No. 36723
Page 2 . Docket No. M11V-36283
03-3- 00-3-501
Laborers R. J. Medina, J. A. Hernandez, S. A. Hayes, B. J.
Lopez, D. E. Thomas and S. L. Laurence shall now be paid at
their respective straight time and overtime rates of pay for an
equal proportionate share of the total man-hours expended by
the outside forces in the performance of said work commencing
on March 22, 1999 and continuing through May 7, 1999."
FINDINGS:
The Third Division of the Adjustment Board, upon the whole record and all the
evidence, finds that:
The carrier or carriers and the employee or employees involved in this dispute
are respectively carrier and employee within the meaning of the Railway Labor Act,
as approved June 21,1934.
This Division of the Adjustment Board has jurisdiction over the dispute
involved herein.
Parties to said dispute were given due notice of hearing thereon.
On February 9, 1999, the Carrier sent the Organization the following
notification:
"This is a 15-day notice of our intent to contract out the following
work:
Location: 1999 Scheduled Locations of Gangs Series 8500,
9100, and 9000.
Specific work: Provide labor, materials, equipment, and
supervision for purchase and removal of rail & tie
otm 'as is where is' behind system rail gangs
during annual Track Maintenance Program.
Form 1 Award No. 36723
Page 3 Docket No. MW-36283
03-3- 00-3-501
Serving of this `notice' is not to be construed as an indication that
the work described above necessarily falls within the `scope' of your
agreement, nor as an indication that such work is necessarily
reserved, as a matter of practice, to those employees represented by
the BMWE. In the event you desire a conference in connection with
this notice, all follow up contacts should be made with Wayne Naro
in the Labor Relations Department ...."
In a February 17, 1999 reply, the Organization contended that the Carrier's
February 9 Notice was "procedurally inadequate and/or defective" with respect to
the requirements of Rule 52 and the December 11, 1981 Letter of Understanding.
Specifically, the General Chairman alleged that the Carrier's February 9 Notice was
"vague" and failed to include even "basic" information.
The General Chairman further contended that the work at issue was
"customarily assigned and performed" by the Carrier's Maintenance of Way
Department, and therefore "specifically reserved" to the Claimants under the terms
of the Agreement.
In its denial of the claim, the Carrier asserted that the work at issue came as
the result of an "as is, where is" sale, after which the material became the property
of the vendor. The vendor loaded and transported its newly purchased property
from the Carrier's right-of-way and the work is not scope covered, according to the
Carrier.
The Carrier noted that although notice is not required under Rule 52 when
the Carrier sells material to an outside vendor, the Carrier did provide advance
written notice to the General Chairman in the February 9, 1999 Notice.
The Carrier further noted that during the claim period the Claimants were
fully employed or were otherwise unavailable and therefore suffered no loss.
Finally, the Carrier maintained that the issue before the Board has been previously
decided, and under the principle of stare decisis, "there is no need to examine it
further."
Form 1 Award No. 36723
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The issue was conferenced, via telephone, on February 26, 1999, however,
neither party retreated from its original stance. Therefore, the dispute has been
placed before the Board for resolution.
Both the Organization and the Carrier assert procedural violations.
However, a review of the record evidence does not support either of the parties'
assertions in that regard. Therefore, we will turn to the merits of the dispute.
The Organization asserts that the Carrier "improperly engaged" outside
forces to perform work which it alleges was exclusively reserved to the employees.
The Organization admits that it was advised of the Carrier's plan in the February 9,
1999 Notice, however according to the General Chairman, the Notice did not
properly contain the dates on which the work would be performed or the number of
outside forces who would perform the same.
For its part, the Carrier maintains that it properly informed the Organization
of its intent to sell its property to an outside vendor on an "as is, where is" basis,
noting that "numerous" Awards have held that the Carrier may contract such
work. As such, the Carrier argues that such work is not covered by the Scope Rule.
In that connection, the Carrier further notes that the Claimants were fully
employed throughout the claim period and therefore suffered no loss.
Following careful review of this lengthy record we are persuaded that the
work involved herein constituted an "as is, where is" sale transaction. Specifically,
in a July 21, 1999 response to the Organization's claim, the Carrier provided "Sales
Orders" for the work in question which stipulated that the materials were sold on
an "as-is, where is" basis, after which the newly purchased materials were picked up
and transported by the vendor.
We find no violation of the Agreement occurred. Accordingly, the claim is
denied.
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AWARD
Claim denied.
ORDER
This Board, after consideration of the dispute identified above, hereby orders
that an Award favorable to the Claimant(s) not be made.
NATIONAL RAILROAD ADJUSTMENT BOARD
By Order of Third Division
Dated at Chicago, Illinois, this 17th day of September 2003.